Causality and multidimensionality of strategic performance management systems: the impact on managers' satisfaction

Erkki K. Laitinen, Aapo Lansiluoto and Marko Ulvila

International Journal of Accounting, Auditing and Performance Evaluation, 2010, vol. 6, issue 1, 28-53

Abstract: This study analyses managers' (Chief Executive Officer (CEO)) satisfaction with strategic performance measurement systems (SPMS). The study investigates the effects of multidimensionality, causality and utilisation of performance measurement systems on managers' satisfaction. Therefore, we combine two research areas concerning information systems and management accounting. A survey sent to 350 CEOs collected empirical data from companies with 100-500 employees. The final response rate was 22.8%. The study uses partial least squares modelling for statistical analysis to test the hypotheses, and the empirical evidence supports three of the study's five hypotheses. Multidimensionality has more effect on satisfaction than causality. Causality has an effect on the utilisation of SPMS. The direct effects of multidimensionality on utilisation and of utilisation on managers' satisfaction are not statistically significant. Therefore, SPMS should have different features (multidimensionality and/or causality) depending on the target (e.g. improving utilisation of SPMS or user satisfaction).

Keywords: performance measurement systems; strategic PMS; multidimensionality; causality; system utilisation; user satisfaction; SEM; structural equation modelling; Finnish firms; survey; Finland; Chief Executive Officers; CEOs; information systems; management accounting; partial least squares; PLS modelling. (search for similar items in EconPapers)
Date: 2010
References: Add references at CitEc
Citations:

Downloads: (external link)
http://www.inderscience.com/link.php?id=30478 (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ids:ijaape:v:6:y:2010:i:1:p:28-53

Access Statistics for this article

More articles in International Journal of Accounting, Auditing and Performance Evaluation from Inderscience Enterprises Ltd
Bibliographic data for series maintained by Sarah Parker ().